The Bloomberg Commodity Index Total Return performance was negative for the month, with 14 out of 22 Index constituents posting losses.

Credit Suisse Asset Management observed the following:

Precious Metals was the worst performing sector, down 4.95%, led lower by Silver. Positive US economic data increased expectations that the US Federal Reserve (Fed) may raise interest rates earlier than expected.

Agriculture declined 4.78%, led by Soybean Meal, due to a continued strong production outlook for Soybeans and Soybean Meal following supportive weather conditions in the US Midwest.

Industrial Metals ended the month 4.11% lower, with Nickel posting the biggest loss, as Chinese imports in July decreased, and economic data indicated continued weak demand.

Livestock declined slightly, losing 0.09%, led lower by Live Cattle. The US Department of Agriculture's August 12th World Agricultural Supply and Demand Estimates Report revised projected beef production higher for 2016 and 2017.

Energy was the best performing sector, up 3.56%. Gasoline gained the most after the US Energy Information Administration reported a larger-than-expected drop in gasoline inventories earlier in the month.

Nelson Louie, Global Head of Commodities for Credit Suisse Asset Management, said: "With the US growing season for grains nearing completion, a large crop looks increasingly certain. Attention will slowly shift towards the upcoming planting season in Latin America. Weak emerging market currencies versus the US Dollar resulted in commercial consumers sourcing grains from outside of the US. As South American Corn and Soybean stocks are already low, any planting delays or weather disruptions may support prices. Within the oil and petroleum sector, market participants are shifting their focus to the upcoming OPEC meeting, where expectations for a potential agreement have increased as Iran has regained market share. Meanwhile, Saudi Arabia and Russia are both producing at or near record levels. However, US crude oil output has tightened from mid-2015 peak levels amid significant production cuts. This may provide support to oil prices, if and when OPEC decides to act."

Christopher Burton, Senior Portfolio Manager for the Credit Suisse Total Commodity Return Strategy, added: "US Federal Reserve officials remained divided over when to raise rates. Positive US economic data reinforced that near-term risks remain subdued, increasing market expectations for a September rate hike. However, given the uncertainty across other major economies and the willingness of global central banks to use further easing measures to revitalize their economies, the Fed may remain patient. In the aftermath of the UK's vote to leave the EU, the Bank of England cut interest rates, while the Bank of Japan announced a new fiscal stimulus package. If the Fed refrains from increasing rates in September, they may only hike once more at the end of this year. This may lead to US Dollar weakness, which could potentially be positive overall for commodities."

About the Credit Suisse Total Commodity Return Strategy Credit Suisse's Total Commodity Return Strategy is managed by a team with over 29 years of experience, and seeks to outperform the return of a commodities index, such as the Bloomberg Commodity Index Total Return or the S&P GSCI Total Return Index, using both a quantitative and qualitative commodity research process. Commodity index total returns are achieved through:

Spot Return: price return on specified commodity futures contracts;

Roll Yield: impact due to migration of futures positions from near to far contracts; and

Collateral Yield: return earned on collateral for the futures.

As of August 31, 2016, the Team managed approximately USD 8.5 billion in assets globally.

Credit Suisse AG Credit Suisse AG is one of the world's leading financial services providers and is part of the Credit Suisse group of companies (referred to here as 'Credit Suisse'). As an integrated bank, Credit Suisse offers clients its combined expertise in the areas of private banking, investment banking and asset management. Credit Suisse provides advisory services, comprehensive solutions and innovative products to companies, institutional clients and high-net-worth private clients globally, as well as to retail clients in Switzerland. Credit Suisse is headquartered in Zurich and operates in over 50 countries worldwide. The group employs approximately 47,180 people. The registered shares (CSGN) of Credit Suisse's parent company, Credit Suisse Group AG, are listed in Switzerland and, in the form of American Depositary Shares (CS), in New York. Further information about Credit Suisse can be found at www.credit-suisse.com.

Asset ManagementIn its Asset Management business, Credit Suisse offers products across a broad spectrum of investment classes, including hedge funds, credit, index, real estate, commodities and private equity products, as well as multi-asset class solutions, which include equities and fixed income products. Credit Suisse's Asset Management business manages portfolios, mutual funds and other investment vehicles for a broad spectrum of clients ranging from governments, institutions and corporations to private individuals. With offices focused on asset management in 19 countries, Credit Suisse's Asset Management business is operated as a globally integrated network to deliver the bank's best investment ideas and capabilities to clients around the world.

All businesses of Credit Suisse are subject to distinct regulatory requirements; certain products and services may not be available in all jurisdictions or to all client types.

Important Legal InformationThis document was produced by and the opinions expressed are those of Credit Suisse as of the date of writing and are subject to change without obligation to update. It has been prepared solely for information purposes and for the use of the recipient. It does not constitute an offer or an invitation by or on behalf of Credit Suisse to any person to buy or sell any security. Any reference to past performance is not a guide to future performance. The information and analysis contained in this publication have been compiled or arrived at from sources believed to be reliable but Credit Suisse does not make any representation as to their accuracy or completeness and does not accept liability for any loss arising from the use hereof.

Certain information contained in this document constitutes "Forward-Looking Statements" (including observations about markets and industry and regulatory trends as of the original date of this document), which can be identified by the use of forward-looking terminology such as "may", "will", "should", "expect", "anticipate", "target", "project", "estimate", "intend", "continue" or "believe", or the negatives thereof or other variations thereon or comparable terminology. Due to various risks and uncertainties beyond our control, actual events, results or performance may differ materially from those reflected or contemplated in such forward-looking statements. Readers are cautioned not to place undue reliance on such statements. Credit Suisse has no obligation to update any of the forward-looking statements in this document.

Certain risks relating to investing in Commodities and Commodity-Linked Investments: Exposure to commodity markets should only form a small part of a diversified portfolio. Investment in commodity markets may not be suitable for all investors. Commodity investments will be affected by changes in overall market movements, commodity volatility, exchange-rate movements, changes in interest rates, and factors affecting a particular industry or commodity, such as drought, floods, weather, livestock disease, embargoes, tariffs and international economic, political and regulatory developments. Commodity markets are highly volatile. The risk of loss in commodities and commodity-linked investments can be substantial. There is generally a high degree of leverage in commodity investing that can significantly magnify losses. Gains or losses from speculative derivative positions may be much greater than the derivative's original cost. An investment in commodities is not a complete investment program and should represent only a portion of an investor's portfolio management strategy.

OTIC Feb. 23, 2018 – Dallas

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